Saving money can sometimes be difficult if you don’t have a specific financial goal in mind. Aside from building your emergency fund, here are 5 top things to save up for that are totally worth the effort.
1. Retirement Fund
We often forget that we need to save up for our retirement. This is because our regular expenses make up most of our budget. However, we need to keep in mind that we eventually need to get out of the rat race and retire from work. So saving for our retirement fund is a long-term savings plan that gives us peace of mind that we can still live comfortably even after our working years. This can be in the form of an insurance fund that pays for your pension, as well as a pension plan from a government social security program that you pay regularly in your time as an employee.
Having your own place to rest, indulge in your hobbies and spend time with your loved ones is always a good goal to save up for. Usually, you save up for the downpayment first, then for the monthly mortgage. This could be a condo unit that makes it more convenient to go to work in the city; or a piece of real estate, land that you will eventually build a house on for your family to settle in. If you can’t afford or it is not practical to have property at the moment; then saving up for a long-term rental is also a good plan. Eventually, you will save up for property that you will earn from by having other people rent it.
Learning should be a life-long goal and it should be something that you need to invest in. Education is vital for personal growth. If you do not challenge yourself, you will not grow. Saving up for education includes subscriptions to gym memberships and/or a nutritionist or meal delivery service to keep yourself healthy. It could also be tuition or subscription to online courses to improve your knowledge and skills in your field of work. Or you may save up for learning more about your hobby and buying the materials for it so you can start a side hustle and eventually turn it into a business.
4. Used Car
Your own transportation is always a useful goal to save up for. It not only makes going around convenient; it also means you can spend more time with your family members, even if it is on the road. A used car is a practical choice as it is less expensive than a new one. Just make sure that it is still fit enough for use for a long time and that the papers are all in order. Of course, if you are able to save up for a new car, then do so. The feeling of having to spend on a luxury item through your own hard work is always a priceless experience.
As we work hard for our family and loved ones, we must not forget to enjoy life in the process. That is why we need to save up for experiences or allocate fun money in our monthly budget. This is a short-term savings plan that allows us to reward ourselves for our hard work. It is also an opportunity to enjoy time with the people who we are working hard for. This can be as simple as dinner with friends or loved ones, a road trip or a relaxing weekend getaway; or even a week-long vacation to rest and recharge. Making good memories with your favorite people is always a rewarding experience.
These are some of the things you can save up for; for both long-term and short-term goals. You can have other goals on your list too. The only requirement is that they will contribute to making your life better and your future brighter.